01 – Get into conversation and connection
The first step to ensure your family benefits from the current and coming economic shifts, regardless of what happens, is to get into conversation and connection with the people you depend on, the people who depend on you, or who you will depend on, if something happens to you or your assets.
If you are afraid to have these conversations because you think your family might not do well with knowing what you have, because you think they can’t handle knowing what you have (or don’t have), or because there has been upset in the past when talking about family financial resources, that’s a sign that it’s more important than ever to get into conversation and connection as soon as possible.
And if you don’t have living parents, kids, siblings, or a spouse, it’s even more important that you start these conversations. You can begin by identifying who you need to have these conversations with. We work with many single people and unmarried couples to help them navigate and talk about what can be a confusing and uncertain future, and we can help you, too.
If talking about assets and the allocation of family resources is easy for your family, that’s great – it’s time to take it to the next level by following the rest of the steps outlined here. Once you get into conversation with the right people based on your family dynamics, the next step is to get comfortable enough to “open the kimono.” This involves creating an inventory that lists all of the assets you own, where they are located, and how the people you love can find them in the event you become unable to share those details yourself.
02 – Open the kimono: Create your “Family Wealth Inventory”
Whether you’ve created a formal set of estate planning documents already or not, it’s time to create (or update) an inventory of your assets. In our experience, most estate plans don’t do a very good job of keeping assets organized. When a loved one becomes incapacitated or dies, this is actually one of the biggest sources of expense, heartache, and pain – no one knows what there is, where it is, or how to find it.
One of the greatest gifts you can give the people you love is what we call a “Family Wealth Inventory,” and it’s something we create for all of our clients as part of their estate plan. We will not only create this inventory for you, but we have systems to keep it consistently updated year in and year out, as your life, assets, and the law change over time.
During a major economic shift, creating, updating and revising your Family Wealth Inventory is critical, and doing that with the people you love is your number-one mission. As we see it, family wealth isn’t just about your financial wealth, it’s about your whole family wealth, including your intellectual, spiritual, and human assets. In fact, these non-financial, intangible assets are usually what we all care about most, and yet they are so often overlooked in estate planning.
One of the best ways to maximize your family’s intellectual, spiritual, and human assets is for your loved ones to get into relationship around your family’s financial resources. Begin by creating (or updating) your Family Wealth Inventory, and sharing it with your loved ones, so you can discuss how to best allocate (or re-allocate) those resources. Having this conversation can help ensure your family’s intellectual, spiritual, and human wealth continues to grow, even as we move through these uncertain economic times.
If you don’t have a Family Wealth Inventory yet, contact us and we will help you start creating your asset inventory. From there, meet with us for a Family Wealth Planning Session. During this meeting, we’ll look at what you have, where it is, and who will take care of it if you can’t, so we can create a plan that’s right for you and your family, whether we have a recession, depression, inflation, or whatever else may come our way.
01 – Create your own estate plan 3 – Consider reallocating your resources
Once you’ve created your Family Wealth Inventory, which allows you to see all of your assets in one place and consider the needs of your family, regardless of the economic climate, you may decide to reallocate your resources. For example, now might be the time to invest in multigenerational housing that will allow you and your kids to live together for many years or allow you to care for aging parents, while still maintaining privacy. Or you may decide that it’s time to create that homestead you’ve been talking about building or launch that business you’ve been wanting to start. And it could be that now is the time to do all of that with the people you love.
When we meet with you for a Family Wealth Planning Session, we’ll help you look at whether your resources are being held in ways that will support you to reach your short and long-term goals. Then, we can either help you reallocate your resources to achieve those goals or refer you to professionals we trust to help you reallocate. The worst thing you can do right now is not look at your family resources because you are afraid to see what’s there, or you want to keep your head buried in the sand.
Times are changing, and the best time to look at what you have, so you can consider the future you want to create and intentionally allocate (or re-allocate) your resources is right now. Those who do so will thrive. Those who don’t will fall behind and wish they had done something different once it’s too late.
04 – Update your plan
Once you look at what you have, where it is, and how you want it allocated, the next issue to decide on is who would take care of it all if you cannot. Leaving the management of your affairs to chance or to out-of-date estate planning documents is the worst thing you can do for yourself and those you love.
In the meantime, start by updating the estate planning you already have in place to handle your assets in the event of your incapacity or death. If you don’t have any plan at all, the state has one for you, and it almost certainly isn’t what you would want to have happen. And if you do have an estate plan in place, it’s likely out of date, or possibly wasn’t even created properly to begin with.
No matter what you have – or don’t have – we can help.
Secure your wealth, your legacy, and your family’s future
Regardless of how much, or how little, wealth you own, now is the time to look at what you have, talk to your parents about what they have, and talk to your kids about what they’ll need to take care of you. And if you don’t have living parents or kids, talk to your siblings or close friends. As your Personal Family Lawyer®, our Life & Legacy Planning Process is designed to guide you to look at all of these things with ease and talk to the right people based on your family dynamics and assets, as affordably and effectively as possible.
Every plan we create has built-in support for your life and legacy, which can greatly facilitate your ability to make wise legal and financial decisions throughout your lifetime and beyond. That’s why we call our services Life and Legacy Planning, not just estate planning.
By working with us, you can rest assure that no matter what happens with the ongoing and future economic shifts, your family wealth will offer the maximum benefit for your loved ones. Schedule a Family Wealth Planning Session today to start having these critical conversations to ensure you and your family will thrive through the recession and any other calamity that may occur.
As your Personal Family Lawyer® firm, we will serve as your trusted, lifelong guide to ensure you make a lifetime of wise, forward-thinking choices for yourself and those you love most. And we will offer your loved ones the support they need to make the most important legal and financial decisions when you are no longer there to guide them. With our expert, caring counsel, you can rest easy knowing that the coming wealth transfer will offer you and your loved ones the most benefit possible, with the least amount of risk. Schedule your visit with us to get your Life & Legacy Plan started today.
